Business - Casinos

Tuesday, Jun. 16, 2009

Pier House to offer waterfront views

DIAMONDHEAD — A new restaurant to be opened by summer’s end resulted from a unique agreement between a private property owners association and a casino, and will feature casual dining with a varied menu.

The Pier House, expected to open south of Interstate 10 by Labor Day, grew from an agreement between the Diamondhead County Club and Property Owners Association and Silver Slipper Casino Venture LLC. A lease agreement calls for the new restaurant to be developed with joint funding, but does not allow Silver Slipper to conduct gaming activities on the property, should a state gaming license ever be issued for Diamondhead.

“The bottom line is, there is no gaming,” said Mario Feola, president of the Diamondhead Group. “We have no interest in gaming.”

A June 11 Sun Herald story on the Pier House reported that should Silver Slipper ever open a casino in that area, some portion of the restaurant site might be used for gaming purposes. But an original memorandum of understanding containing that clause was never made official, and the clause is not part of the final agreement.

The agreement does allow Silver Slipper, whose casino is located at Bayou Caddy, to cross-market its casino and the restaurant. Silver Slipper customers already are using Diamondhead amenities, such as golf courses, and the POA direct-bills the casino. Diamondhead golf courses also are open to the general public for a fee.

The new restaurant is nearing completion at the site of the former Diamondhead Yacht Club Restaurant, which was destroyed by Hurricane Katrina. POA officials said the new agreement is unique in its terms and composition, and allows the group to restore a restaurant with waterfront views, but to have the facility managed by Silver Slipper professionals.

“It’s a very unusual agreement,” said Jim Hunt, POA vice president.

The restaurant will have 4,000 square feet of interior heated and cooled space, plus about 1,000 square feet of covered deck overlooking parts of the Jourdan River and the Bay of St. Louis. The Silver Slipper will pay a fixed rent to lease the Pier House, but is not required to share net profits with the POA, Feola said.

Silver Slipper has contributed a non-refundable $100,000 to the project so far, and another $1 million is being contributed by the POA. Should construction costs surpass $1.1 million, the overage will be funded by the Slipper to a maximum agreed amount, Feola said.

A menu is now being finalized, but a preliminary version shows a large array of appetizers, soups, salads, sandwiches and baskets, burgers, pasta dishes and entrees including steaks, chops and traditional Gulf Coast seafood. Pricing is moderate.

Silver Slipper chief executive John Ferrucci said he expects the atmosphere to be comfortable and casual, “in keeping with the fine food we serve here at the casino.”

Ferrucci and the casino venture “have been very generous in this rebuild of our amenity, and we appreciate their contribution,” Feola said. “The opening of the Pier House will be a memorable day for Diamondhead.”